The first phase of the exploratory core drilling will be done using a widely and evenly spaced program covering a grid designed to test the potential for uranium mineralization over the entire area.
Specifically, the objective of the program is to identify oxidation-reduction interfaces within the wide-spaced drilling at the site in Kenedy County, the company said.
The first phase of the drilling program, began on 21 June 2011, is expected to be completed by the end of September at a cost of about $1m.
URI president and CEO Don Ewigleben said the Los Finados project allows the company to explore for uranium in one of the largest contiguous untested land blocks in the prolific south Texas uranium district.
URI’s water sampling results from our earlier testing, our analysis of local geologic trends, and the history of uranium production in the district suggest that the Los Finados property is highly prospective for the occurrence of one or more uranium deposits that can be produced by commercially viable ISR technology," Ewigleben said.
Last month, the company signed an exploration agreement with Cameco Texas, a subsidiary of Power Resources, which is a subsidiary of Cameco.
The exploration deal provides for a three-phase, three-year exploration program on the 54,847 acre south Texas property on which URI obtained the exploration rights and lease option.
At the conclusion of the exploration program, the firms may enter into an operating joint venture to develop and produce any discovered uranium resources and reserves.
